Delaware Code Title 18 Sec. 4922 – Dividends to stockholders
(a) A domestic stock insurer shall not pay any cash dividend to stockholders except out of that part of its available and accumulated surplus funds which is derived from realized net operating profits on its business and realized capital gains.
Terms Used In Delaware Code Title 18 Sec. 4922
- Corporation: A legal entity owned by the holders of shares of stock that have been issued, and that can own, receive, and transfer property, and carry on business in its own name.
(b) A cash dividend otherwise lawful may be payable out of the insurer’s earned surplus even though its total surplus is then less than the aggregate of its past contributed or paid-in surplus.
(c) A stock dividend may be paid out of any available surplus funds.
(d) The insurance department or division of a corporation established under Chapter 7 of Title 5 shall only make distributions (other than for payment of expenses) to such corporation out of that part of its available and accumulated surplus funds which is derived from realized net operating profits on its business and realized capital gains.
18 Del. C. 1953, § ?4922; 56 Del. Laws, c. 380, § ?1; 67 Del. Laws, c. 223, § ?33;